Carson Company has an inventory turnover of 13.25, and its inventory amounts to $5,100,000. What is the amount of cost of goods sold?

Name: Carson Company has an inventory turnover of 13.25, and its inventory amounts to $5,100,000. What is the amount of cost of goods sold?
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Question

Quizplus · Accepted Answer

The inventory turnover ratio is calculated as Cost of Goods Sold (COGS) divided by average inventory. Given the inventory turnover of 13.25 and inventory of $5,100,000, COGS = 13.25 * $5,100,000 = $67,575,000.

Carson Company Has an Inventory Turnover of 13